Movie theater chains Regal and Cinemark are taking it on the chin on Wall Street this morning after a weekend of disappointing box office sales — and the close of an even more dispiriting quarter. Regal’s stock price is down about 4.6% in early trading. Janney Capital Markets downgraded its stock recommendation to “sell” from “neutral.” Lazard Capital and Merriman Capital also lowered their cash-flow projections for Regal. And Cinemark is down about 3.5%. Janney Capital changed its recommendation to “neutral” from “buy” — with Lazard and Merriman also cutting their forecasts. Analysts say that the 4.4% increase in box office sales in the second quarter vs. the same period last year fell far short of their forecasts: Lazard’s Barton Crockett expected a 10% pickup, while Merriman’s Eric Wold thought sales would improve at least 11%. And the holiday weekend didn’t lift their spirits. Crockett says that the $182 million generated domestically by Paramount’s Transformers: Dark of the Moon in its first seven days was $29 million less than he expected.
Investors Slam Movie Theater Chains As Box Office Sales Miss Expectations
What's Hot on Deadline
'Madea' To Push Well Past $27M As 'Jack Reacher' Takes $22M to $23M; 'Joneses' Can't Keep Up - Sun. AM Update
Bernie Sanders: Obama Administration "Should Kill" The AT&T-Time Warner Deal: "Higher Prices & Fewer Choices"
'Saturday Night Live' Hits Season High Ratings With Tom Hanks, Lady Gaga & More Donald Trump & Hillary Clinton
Latest Box Office News
- Rachel Weisz Leads A Chilly ‘Plenty’ Revival At The Public Theater – Review
- ‘Jack Reacher’ Gets Going With $31M; ‘Girl’, ‘Inferno’, ‘Peregrine’ At Milestones – Intl Box…
- 'Moonlight' & ‘Michael Moore In TrumpLand' Top 2016 Theater Averages – Specialty B.O.
- ‘Madea’ To Push Well Past $27M As ‘Jack Reacher’ Takes $22M to $23M; ‘Joneses’ Can’t Keep Up – Sun. AM…
- What Happened To ‘The Joneses’ At The Box Office?
- ‘Burn This’ Broadway Revival With Jake Gyllenhaal Postponed Until 2017-2018